Mike Petters, CEO of Huntington Ingalls Industries, identified the energy market as a potential area of growth for the shipbuilding giant in an address to the Atlantic Council, Reuters reported Wednesday.
Petters told the think tank Wednesday that Huntington Ingalls has invested in the energy sector and established healthcare centers at its facilities as part of its long-term goals, Andrea Shalal reports.
He said the company is working to balance investors’ demands for dividend growth with the Huntington Ingalls’ need for longer-term investment plans, according to the report.
“You can buy back shares, raise your dividend, you can do lots of stuff that will actually affect the perceived value of your company, but they’re not investments that are creating new value inside your business,” Petters told the think tank.
Petters added that budget reductions also press the company to limit investments in research and development programs and cut profit margins, Reuters reports.